ITC Holdings Corp. has announced the formation of two new subsidiaries. ITC Grid Development has been formed as a subsidiary of ITC Holdings to focus on bringing much needed improvements to the nation's electricity transmission infrastructure by partnering with entities in regions where significant investment is needed to improve reliability and address local energy needs.

"Through its subsidiary ITCTransmission, ITC Holdings has invested over $300 million since 2003 toward improving reliability, reducing congestion and lowering the overall cost of delivered energy in southeastern Michigan," said Joseph L. Welch, president and CEO of ITC Holdings Corp.

The first region in which ITC Grid Development will focus its efforts is the Great Plains region, specifically in Kansas, through the formation of a subsidiary named ITC Great Plains. ITC Great Plains has established an office in Topeka, Kansas, to address a recognized need to increase cross- state transmission capacity issues as well as to develop the transmission infrastructure necessary to support the tremendous potential for renewable energy through wind farms in southwestern Kansas.

"ITC Great Plains is fully committed to bringing the necessary resources to Kansas and the surrounding Great Plains region to make the necessary improvements to the electricity transmission system to support Kansas' energy needs now and in the future," said Carl A. Huslig, president of ITC Great Plains.

Huslig, a native of Kansas with over 15 years experience in the electric utility industry, is dedicated to developing the necessary electricity transmission infrastructure to meet the energy needs of Kansas and the Great Plains region. Huslig has personally testified in front of the Kansas Corporation Commission in February of 2005 to the lack of regional electricity transfer capability within Kansas, and as president of ITC Great Plans, he will focus on increasing electricity transfer capability and improving the region's overall electricity transmission reliability.